passwella.
Menu

WAEC Financial Accounting 2009 Question 34

Question 34

Accounting Equation

S. Sule sets aside from his private funds ₦20,000 for business purposes. The ₦20,000 is referred to as

  1. A.drawings
  2. B.capital
  3. C.loan
  4. D.profit
Show the answer and explanation

Answer: B (capital)

Explanation

Money the owner puts into the business is capital.